Customer loyalty schemes 'can help business growth'

Retailers can dramatically improve the performance of their online business by using a customer loyalty scheme, it has been claimed.

According to Rachel Miller, editor of marketingdonut.co.uk, all firms selling products online can gather valuable information about their consumer base through a loyalty scheme.

With even a small increase in customer retention having a major impact on the bottom line, Ms Miller says that having data on how, when and why consumers spend can be invaluable when it comes to formulating a marketing campaign.

She went on: "The problem is that many businesses take their customers for granted. They assume that their best customers will keep coming back.

"But the reality is that it has never been easier for consumers to shop around, especially online."

Her comments echo those of Sarah Cross, managing director of uber, who says that personalizing the approach to customer loyalty builds trust with the consumer.